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Q3-A existing old machine has present trade value of $80,000 and remaining book value of $25,000, this old machine expected to run 3000 hours per

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Q3-A existing old machine has present trade value of $80,000 and remaining book value of $25,000, this old machine expected to run 3000 hours per years, if old machine is kept, the remaining book value$25,000 will be depreciated st. Line over year 1 and 2, salvage value is zero, the operating cost of old machine are $40,000 year1, $45,000 year2, $50,000 year3. And $55,000 year, the effective tax rate is 40%, with minimum DCFROR15%, calculate the cost per hour for this machine, using breakeven analysis. 3 W CODE

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